Poverty and Government Schemes
1 Quick Explanation 1–3 min
Poverty means the inability to meet minimum basic needs.
Absolute (Poverty Line based) vs relative poverty; India's official line uses consumption expenditure.
2 Detailed Notes
Definition
Definitions
- Poverty: a situation where a person fails to earn enough to secure a minimum standard of living.
- Absolute poverty: income below the official poverty line (minimum consumption of food + non-food basics).
- Relative poverty: comparison across sections of society (inequality).
Key idea
Trends
- Head count ratio declined sharply since 1970s (~55% in 1973 → single digits in recent estimates).
- But millions still vulnerable — poverty is concentrated among SC/ST, landless labourers, casual workers.
- Urban-rural divide persists.
Key points
Causes of poverty
- Low asset base (landlessness, no skills).
- Population pressure and unemployment.
- Regional imbalance, social exclusion.
- Past neglect of agriculture & rural infrastructure.
Comparison
Anti-poverty schemes
| Scheme | What it does |
|---|---|
| MGNREGA (2005) | 100 days guaranteed rural wage employment |
| PM-KISAN | Direct income support to farmers |
| NFSA / PDS | Subsidised food grains to families |
| Ayushman Bharat | Health insurance for the poor |
| PM Awas Yojana | Housing for the homeless poor |
| Skill India / PMKVY | Training for employability |
Important
Is the poverty line enough?
The official poverty line is a minimum consumption norm — critics argue it understates deprivation (health, education, social inclusion). Multi-dimensional poverty indices capture more.
In One Minute
Poverty = inability to meet minimum needs. Absolute vs relative. Declining headcount, but vulnerable groups remain. Schemes: MGNREGA, PM-KISAN, PDS, Ayushman Bharat.
Important for Exam
- ⭐ 1-mark: absolute vs relative poverty.
- ⭐ Causes of poverty (3 marks).
- ⭐ Trends & the declining headcount ratio.
- ⭐ Schemes: MGNREGA, PDS, PM-KISAN.
Watch & Learn
Watch on YouTubeBest Revision - Indian eco - Poverty one shot - economics Lecture 3
by Rajat Arora
Why watch? Concept, causes, trends and schemes.
Open on YouTube Watch on YouTubeBest Revision - Indian eco - Poverty one shot - economics Lecture 3
by Rajat Arora
Why watch? All schemes explained with details.
Open on YouTubeWhen a verified best video is available it plays right here; the button always opens the same video on YouTube. Topics without a verified pick fall back to a live YouTube search from trusted CBSE channels.
Your Personal Note
Notes are saved on this device and appear on your Bookmarks page.